Tees Valley Combined Authority (Functions) Order 2017

Lord Kennedy of Southwark Excerpts

Thursday 2nd March 2017 Lords Chamber

[Baroness Pinnock (LD)]

My Lords, the north-east in particular is in desperate need of regeneration, inward investment and higher-skilled jobs to bring prosperity to the local area, and Tees Valley is no exception to that. Given that backdrop, I am very supportive of a proposal that enables the local elected representatives to take account, take charge and have the vision and ambition for their own local area; to respond to the challenges of the loss of the steelworks and glassworks in the north-east and the ensuing large area of industrial dereliction; and to themselves be responsible for the challenge in bringing in new businesses, new life and new hope to local people. Noble Lords can tell from that that I am supportive of the notion of that happening. However, I have a couple of questions to explore with the Minister.

First, although the planning functions are critical to the whole idea of a development area, the reports do not make clear how much of the planning responsibilities the constituent councils will pass over to the development corporation. For instance, I think it would be appropriate for major site applications to be the responsibility of a planning authority within the combined authority but that the details, particularly of housing design and so on for the smaller applications, should still be the responsibility of the constituent councils. Those are the sorts of things that strategic bodies do not pay enough attention to. Enabling local councils to take on that responsibility would seem to be the right split of functions. I hope that that is part of the thinking behind the proposal, although it is not clear to me that that was the case.

The second big issue for me is the level of scrutiny that will be applied. Will there be a separate scrutiny function for the mayoral development corporation? I think that such a function would be appropriate, given the significant powers that will be in the corporation’s hands to reshape a considerable area of the north-east. There ought to be a separate scrutiny function to ensure that decisions are appropriately made. With that, I support the order.

[Lord Kennedy of Southwark (Lab)]

My Lords, I start my remarks by making the usual declarations of interest that I have made in previous debates.

The Tees Valley Combined Authority order brings into force, as we have heard, the agreement reached between the Government and the local authorities in the Tees Valley area. The Minister might be pleased to hear that I support the order, although I have one or two points to raise.

I noted from the report of the Secondary Legislation Scrutiny Committee that there were concerns about the creation of a mayoral development corporation, particularly if it covered part of the North York Moors National Park, but was pleased to learn that an agreement was reached whereby the functions and powers will be transferred only with the agreement of the national park authority. I think it is important for the Government to try generally to get an authority’s agreement when it can be brought into the sphere of an area.

I also note the imperative to establish quickly a mayoral development corporation in the South Tees area and that a shadow board has been established. I certainly wish that body well in its important work. Will the Minister say a bit more on what is envisaged and how he sees that body working with business to bring in inward investment? In particular, how will the body relate to the elected Members of Parliament for the area covered by the mayoral development corporation? The area has suffered a serious blow, and everything possible must be done to secure a successful recovery. A close working relationship with local and national government and business and elected representatives at every level is important to ensure that there is a recovery.

--- Later in debate ---

[Lord Bourne of Aberystwyth]

This is indeed a different case because they were single authorities. These are combined authorities and the expression of the democratic view is given by combined authorities. It is a policy difference. The noble Lord does not like that policy, but it is the Government’s policy.

[Lord Kennedy of Southwark]

I return to the issue of consultation. If we look at the order before us today and some of the ones we have seen recently, it appears that we have a kind of hokey cokey attitude to consultation, in that the Government go in and out depending on what they want. Actually, largely, they ignore what the consultation says. If they agree then that is great and if they do not they say, “Well we are sorry about that”. I am not sure if this is the right thing to do. I suggest that the noble Lord goes back to the department and the department comes back with some consistency in how the Government address consultation. It is all over the place at the moment, and even some noble Lords on the Bench behind the Minister think that it is not the way to operate.

[Lord Bourne of Aberystwyth]

My Lords, there is a great difference between a consultation and a plebiscite. This is asking not a simple yes/no question but a variety of questions. Of course we look at the consultation, but it is not a plebiscite on whether to go ahead or not. The noble Lord has not raised this point before and has supported such things. I am not sure whether he is now suggesting that the consultation should be regarded as a plebiscite.

[Lord Kennedy of Southwark]

I am not saying that. The point I am making is that these orders come before us quite frequently and sometimes the Government say, “Oh, isn’t it great that we have everyone fully behind us?”, and the next time they say, “Oh, sorry about that”, and they do not mention it. There seems to be an inconsistency in how the Government address consultation and whether they take it on board. That is my point and I suggest that the noble Lord goes back to the department and has a look at it. The way the Government use consultation seems odd. There is an inconsistency, and the department should look at that.

[Viscount Eccles]

My Lords, I want to return to the issue of consultation. I am entirely on the same side of the fence as the noble Lord, Lord Kennedy. Two very serious things emerged from the results of the consultation. One is whether this is an appropriate geopolitical area to achieve all the things that it is hoped combined authorities will achieve. The other is the history of local government in the area, which I did not refer to before but I refer to now.

Many changes have come about during the well over 60 years in which I have lived in the north-east. Those changes, in general, have not worked. The area has a very long and different history. In 1820, Middlesbrough was nothing but a hermit’s chapel on the banks of the Tees. Areas that are not contiguous and have very different histories will have to be pulled together. That is what mayors are supposed to be for. I urge my noble friend to watch very carefully what happens. I said this regarding the previous order and I say it again: I welcome what is being done, but I am uncertain as to whether it will succeed.

[Lord Kennedy of Southwark]

I have one further point. I accept entirely that this is not a plebiscite, but I ask the Government, what is the point of consultation? Is the noble Lord saying, “Yes, of course we will consult on these things, but at the end of the day it will not make any difference: we will do what we are going to do”? If not, what is he saying?

[Baroness Pinnock]

On a separate point entirely, I asked earlier in the debate whether a specific scrutiny system would be established for the development corporation. If it is successful, as I hope it will be, it will make a huge difference to the area. A scrutiny system should be set up to investigate what decisions are made and how.